Which term refers to the benefits received in addition to wages, such as uniforms, subsidized meals, housing, pension contributions, and company cars?

Prepare for the IB Business and Management SL Exam with flashcards and multiple-choice questions. Each question includes hints and explanations to boost your confidence and success.

Multiple Choice

Which term refers to the benefits received in addition to wages, such as uniforms, subsidized meals, housing, pension contributions, and company cars?

Explanation:
Fringe benefits are non-cash rewards included in compensation, such as uniforms, subsidized meals, housing, pension contributions, and company cars. They add to the overall value of a job beyond the cash wage and can help attract, motivate, and retain employees. The concept is about extra perks tied to employment, not the regular salary itself. The other terms refer to different ideas: delegation is about passing authority, Maslow's hierarchy outlines levels of human needs, and Herzberg's two-factor theory distinguishes what creates satisfaction versus dissatisfaction at work.

Fringe benefits are non-cash rewards included in compensation, such as uniforms, subsidized meals, housing, pension contributions, and company cars. They add to the overall value of a job beyond the cash wage and can help attract, motivate, and retain employees. The concept is about extra perks tied to employment, not the regular salary itself. The other terms refer to different ideas: delegation is about passing authority, Maslow's hierarchy outlines levels of human needs, and Herzberg's two-factor theory distinguishes what creates satisfaction versus dissatisfaction at work.

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